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UK hedge fund manager Centaurus Capital has lodged a formal complaint with the European Commission about a new Hungarian law that it claims will block takeovers, in a rare step that highlights the growing confidence of activist investors.

The unusual move lends credibility to proceedings the commission began this week against Hungary, according to a source familiar with the situation.

Charlie McCreevy, the European Union internal market and services commissioner, has opened legal proceedings against Hungary for introducing an act, referred to as Lex-Mol, that came into force in October and facilitates the blocking of hostile takeovers.

Centaurus' interest has arisen as a 1% shareholder in oil and gas company Mol, Hungary’s largest company by revenue. Mol, whose shares were quoted at 11:30 GMT at 25,800 Hungarian forints, this year received a bid of 32,000 forints a share from Austrian rival OMV, valuing the company at about €14bn ($19.8bn). Mol rejected the bid.

Centaurus said in its letter: "The Hungarian Government have been open in their plans to frustrate any attempts to invest in Mol. The implementation of Lex-Mol increases the board’s power to block takeover bids.

"In their efforts to deter any potential new investors, the Hungarian Government has imposed a wide range of restrictions on the free movement of capital, infringing Article 56 of the EC Treaty. Whilst EC law will permit some restrictions that are deemed necessary for the protection of energy supplies, such justification cannot exist regarding the Hungarian Government’s various infringements of Article 56.

"Centaurus Capital hopes to ensure that the Hungarian Government is made to comply with its obligations under EC law and ensure that investors are free to acquire shares in Hungarian public limited companies."